Building the leader in betting, gaming, and interactive entertainment - 12th August 2021

Page created by Stephen Steele
 
CONTINUE READING
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Building the leader
in betting, gaming,
and interactive
entertainment

12th August 2021
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Today’s agenda

             Entain’s platform for growth   Jette Nygaard-Andersen
                                            CEO

             Entain Technology              Sandeep Tiku
                                            COO

             UK Digital                     Dominic Grounsell
                                            MD UK Digital

             Q&A                            Presenters and Rob Wood
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Unparalleled Growth Momentum and Profitability

Entain is a truly differentiated interactive entertainment business
                            Unparalleled Growth Momentum and Profitability                                                         Truly Global Market Leadership

                                   22                                   29-30%
                                                                                                              #2                    #2                     #2                        #2
                                                                                                                   UK                    US                       Germany                 Italy

                             consecutive quarters                       Online EBITDA margin                  #3                    #1                     #1                        #3   Partypoker
                         of double-digit online growth                        (FY21E)1                             Australia             Georgia                  Brazil
                                                                                                                                                                                          (global)

                    Diverse Product Offering with Omni-Channel Capabilities                                                  Robust, Reliable, Market-Leading Technology

                                                                                                            3,000+                  2M                99.95%                              120+
                                                                                                             Technologists           Daily bets     Service availability (>99.9%   Changes per day with zero
                                                                                                                                 through platform           every year)                   downtime
               SPORTS                 CASINO              BINGO              POKER             RETAIL

                  Bespoke Customer Offering Ensuring Quality User Experience                                  Proven Digital Expertise Powered by Advanced Data & Analytics

                          25M                                   71%                       300+              160M+                     100+                      50+                    ‘000s
                 Betting offers from in-house                BetMGM customers             In-house games     Customer data               Content                AI prediction         Personalised offers
                 trading platform, across 90+              playing on in-house and                          profiles based on        recommendation                models             from data-powered
               sports and 200k+ in-play events                exclusive content                              250TB of data               models                                         CRM technology

                                       Significant Regulatory Experience                                                              Leadership in Responsibility

                   100                               645                             99%                                             ARC
                Licenses across 27
                countries globally
                                                Experienced Legal and
                                                Compliance personnel
                                                                              Revenues from regulated and
                                                                                  regulating markets               Advanced Responsibility & Care

For notes see appendix                                                                                                                                                                                         3
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Industry-leading Entain Platform provides unique competitive
advantages and powers growth
                                                                                 M&A and
              Leading               People            Global Scale and Brand    Integration
            Technology            and Talent               Awareness           Track Record

          Content Creation   Customer Relationships         Marketing           Regulatory
            and Products           and Data                 Excellence         Expertise and
                                                                               Responsibility
                                                                                                4
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Evolving our strategic narrative

VISION               The world leader in betting, gaming and interactive entertainment

PURPOSE                       Bring moments of excitement into people’s lives

STRATEGY

                               SUSTAINABILITY                           GROWTH
                          ⬢   Regulated                         ⬢   Leadership in the
                              markets                               U.S.

                          ⬢   Lead on                           ⬢   Grow presence in
                              responsibility                        core markets
                                                     ENTAIN
                          ⬢   Best-in-class         PLATFORM    ⬢   Expand into new
                                                                    regulated markets
                              corporate
                              governance
                                                                ⬢   Extend into new
                                                                    interactive
                          ⬢   Investing in people                   entertainment
                              & communities                         experiences

                                                                                         5
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
We are winning in the U.S.

                  BetMGM is the established #2 operator with significant runway for growth and profit generation

                         Overall Estimated National Market Share2
35%

                                                                                                                     $32bn                   20-25%
30%                                                                                           COMPETITOR 1

25%
                                                                                                             Long-term total addressable   Expected long-term

20%
                                                                                         BetMGM                     market (TAM)            U.S. market share

                                                                                         COMPETITOR 2

15%

                                                                                                                   30-35%                     $1bn+
10%

                                                                                          COMPETITOR 3
 5%
                                                                                                                 Expected long-term         Forecasted 2022
                                                                                                                   EBITDA margin              net revenue
 0%
        Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21 Apr-21 May-21 Jun-21

For notes see appendix                                                                                                                                          6
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Growing share across all markets in the US
                                 BetMGM market shares2
35%
                                                                                                        #1                        30%
30%

                                                                                                                             Q2 2021 iGaming
                                                                                                  Leader in iGaming
                                                                                                                              market share2,4
25%

20%                                                                                                      #2                       22%

15%
                                                                                              US Sports betting & iGaming     Q2 2021 total
                                                                                                      operator2,4             market share2,4

10%

5%
                                                                                                       35%                        32%

0%                                                                                              Q2 2021 market share
        Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21 Apr-21 May-21 Jun-21
                                                                                                                            Q2 2021 market share
                                                                                                 in Tennessee OSB4            in Colorado OSB4
             Online Sports L3M            iGaming L3M               All Markets L3M
                                                                                                                                                   7
For notes see appendix
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Leading growth in the global online regulated market

                         Strong TRACK
                         STRONG track RECORD
                                      record OF
                                             of growth
                                                GROWTH                                                              Online
                                                                                                                     ONLINENGR  (£M)AND
                                                                                                                           NGR (£M)  andY/Y
                                                                                                                                         y/yGROWTH
                                                                                                                                             growth
                                                                                              900

                                                                                                                                                                                                                41%         23%
                                                                                                                                                                                                                      32%
                                                                                              800

                                                                                                                                                                                                          28%

         23%                         50%                      22
                                                                                              700
                                                                                                                                                                                                    23%

                                                                                                                                                                                              19%
  online NGR        growth5        Online EBITDA         Consecutive                          600                                                                                       11%

                                                                                                                                                                              17% 11%
       in Q2 2021                  growth in 2020     quarters of double-                                                                                         15%

                                                                            Online NGR (£M)
                                                        digit online y/y                      500
                                                                                                                                                            29%         18%

                                                                                                                                                      25%
                                                            growth                                                                        26%
                                                                                                                                                15%

                                                                                              400                                   13%
                                                                                                                          18% 12%
                                                                                                                    17%
                                                                                                          22% 25%
                                                                                                    24%
                                                                                              300

                         29-30%                 20%                                           200
                         EBITDA margin       3-year CAGR in
                             FY21E1            Online NGR
                                                                                              100

                                                                                                0
                                                                                                    Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

                                                                                                          2016                2017                    2018                    2019                  2020              2021

For notes see appendix                                                                                                                                                                                                            8
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Further high-quality growth built into our existing markets

                                                                  Well-positioned to deliver growth from existing markets

                                                                                                                                              GGR IN ENTAIN’S CURRENT MARKETS
                                                                                                                                           Online and Current Retail Market (2020-Long-Term)

                                                                                         MORE
         NEW BETTORS
         AND GAMERS
                                               MORE SPORTS
                                                BETTING                                 GAMING                                                +c.$30bn
       25-40%                                 30-69%                               26-63%
        of adults in Entain’s                 of adults in Entain’s            of adults in Entain’s existing                                                                                   2020 -
       existing markets6 are                   existing markets 6              markets 6 indicate an interest                                                                                    2025
                                                                                 to participate in gaming
       not betting today but
          are interested in
                                              indicate an interest
                                              to bet somewhat or                       somewhat or                                                                                             CAGR %
          betting/gaming                       significantly more                   significantly more
                                                                                                                                                                                               8.3%

                                                                                                                                                                          $70bn
                                                                                                                                                       $59bn
          97%                                   87%                                 100%                                            $40bn
      of online NGR from                   of online NGR from                       Revenue from
      markets7 where we                   markets8 where online                   regulated markets
      are growing >10%                         penetration                          by end of 2023
                                                 is
Building the leader in betting, gaming, and interactive entertainment - 12th August 2021
Growing new regulated market opportunities

                                                                             Significant opportunity in new markets9
                                                                                                                                             2020 - PROJECTED
                                                                                                                                            LONG-TERM CAGR %

                    c.50                                $40bn                                                           $40bn                    15%
                                                       New market
               Potential new
                                                       opportunity                                                      $9.6bn     LatAm          22%
                 markets                               (online and retail)

                                                                                                       $24bn
                                                                                                                       $11.5bn     Africa         19%
                                                                                                       $5.2bn

             Track record of                                                                $10bn      $6.3bn
                                                       Significant
             accretive M&A                             regulatory                           $1.3bn                                 Europe         11%
                                                                                            $1.3bn                     $18.5bn
                                                       experience                           $2.1bn
                                                                                                      $12.4bn
                                                                                            $6.6bn

                                                                                             2020       2025E          Long-Term

Note: Numbers may not sum due to rounding.
Sources: H2GC, VIXIO, World Bank Development Indicators, Activate interviews and analysis
                                                                                                                                                                10
For notes see appendix
Significant revenue opportunity of c.$142bn from current
business areas

                    $70bn                                                                     $32bn                   $40bn
                GGR opportunity in                                                          North America GGR      New regulated market
                existing markets10                                                          market opportunity10      opportunity10

Sources: H2GC, VIXIO, World Bank Development Indicators, Activate interviews and analysis
For notes see appendix
                                                                                                                                          11
NEW GROWTH DRIVERS
Consumer trends opening new growth opportunities

                                   Consumer trends

                  MORE BETTING          MORE                   MORE
                   AND GAMING        LIVE BETTING           INTERACTIVE
                    CONTENT          EXPERIENCES          ENTERTAINMENT

          MORE VIDEO        MORE AUDIO             MORE
                                                FREE-TO-PLAY            MORE
         PROGRAMMING         CONTENT                               SOCIAL FEATURES
                                                   GAMES

        Opportunity for Entain to serve customers with an ecosystem of
                adjacent content, games and social features
                                                                                     13
Sports bettors are materially more likely to engage in much more
content than non-bettors
                                                                         Additional adult11 sports activities participation12

                                                                                    Sports bettors13 are…

                             UP TO 2.8X                                                UP TO 2.7X                               UP TO 1.9X
                               More Likely to watch                                      More Likely to play                    More Likely to read
                            BETTING CONTENT                                          FREE TO PLAY GAMES                          STATISTICS &
                                                                                                                                   ANALYSIS

                                                               …than sports followers14 who do not bet
Sources: Activate Betting & Gaming Research Study (n = 21,570), Activate analysis
For notes see appendix                                                                                                                                14
Video gamers are more likely to participate in betting and iGaming

                                                 Global adult11 video gamers15 betting and iGaming participation12

                                        Betting                                                                        iGaming

                                     Video gamers                                                                      Video gamers
                                          are                                                                               are

                                  UP TO 4.3X                                                                         UP TO 4.5X
                                      More likely to                                                                   More likely to
                                      participate in                                                                   participate in
                                                                                                                                                Bingo
         Sports                         betting16                                    Non-Sports     Casino              iGaming17
         Betting                                                                    Event Betting    Slots

                                                                                                               Casino
                   Virtual Sports                                         Esports                                                       Poker
                                                                                                             Table Games
                       Betting                                            Betting

Sources: Activate Betting & Gaming Research Study (n = 21,570), Activate analysis
For notes see appendix                                                                                                                                  15
Video gamers expect more media content and social experiences

                                                                Global adult11 video gamers15 media activity participation12

                                                                              Video gamers are…

                     UP TO 1.6X                                                     UP TO 1.5X                                 UP TO 1.8X
                        More likely to watch                                                                                    More likely to use
                                                                                    More likely to listen to
                       VIDEO CONTENT                                                AUDIO CONTENT                              SOCIAL MEDIA

Sources: Activate Betting & Gaming Research Study (n = 21,570), Activate analysis
For notes see appendix                                                                                                                               16
New Players

                          REAL MONEY GAMING
                         – Sports betting (i.e. online
By expanding our           and retail betting on
                           traditional sports)
customer                 – iGaming (i.e. poker, bingo,
                           casino table games,
                                                                         Consumer
                           casino slots)
offerings,                                                              Engagement
                                                                         Powered by:                    –
                                                                                                            CONTENT & MEDIA
                                                                                                            Sports & betting media
enabled by                                                    THE ENTAIN PLATFORM                       –
                                                                                                        –
                                                                                                            Video and audio content
                                                                                                            Streaming
                                                                                                        –   Statistics and analysis
our platform, we                                         • People and Talent
                                                         • Content Creation
                                                                               • Proprietary
                                                                                 Technology
                                                                                                        –   Free-to-play games

create powerful                                            and Products
                                                         • Global Scale and
                                                                               • M&A and Integration
                                                                                 Track Record
                                                           Brand Awareness     • Customer
flywheel effects,                                        • Marketing
                                                           Excellence
                                                                                 Relationships and
                                                                                 Data
                                                                                                                                      New Users

further driving                                                                • Regulatory Expertise
                                                                                 and Responsibility

real money
gaming
                                                             INTERACTIVE
                                                           ENTERTAINMENT
                                                         – Esports betting
                                                         – Skill-based wagering
                                                         – Casual mobile games
                                                           (i.e. Social Casino)
                    New Gamers
                                                                                                                                          17
CONTENT & MEDIA
Driving user acquisition, engagement, and retention through
content and media

           CONTENT, MEDIA AND          ENTAIN IS ALREADY                             EXPAND CONTENT
         GAMING ARE CONVERGING        CREATING CONTENT IN
                                                                                         & MEDIA
                                       THESE CATEGORIES:
     • User acquisition                                                       • Building – in-house content
                                            Audio      Video                    creation capabilities
     • User retention
     • Increased engagement                                                   • Acquiring – strong M&A and
                                 Sports &                      Free-to-play     integration track record
     • Community effects          betting                         games
                                  media                                       • Partnering – existing and new
                                                                                partnership opportunities
                                       Innovative ways to interact
                                          with content (VR/AR)

Source: Activate analysis                                                                                       19
Engaging our users with more content drives deeper engagement and
builds relationships
                                                                  Sports and betting content

                                                                                                                      MOODY ON THE MIC
                   CORAL & ITV PARTNERSHIP                                                                         Australia’s leading horse racing podcast
                    Producing a 10 month series of high quality                                                    featuring legendary trainer Peter Moody
                       documentaries about sporting greats

                                                                      LADBROKES AUSTRALIA PRESENTS
                                                                               Weekly original racing stories to
                                                                                entertain and educate fans

Sources: Company Sites, Activate analysis                                                                                                                 20
Entain’s sports and betting media creates relevant and engaging
customer experiences
                                            Sports and betting content

                Bwin Content
                Partnerships
   ⬢     Partnerships with high-reach
         sports properties
         – Driving traffic and bets by
           integrating odds near relevant
           sports content

   ⬢     Localised offerings tailored to
         individual markets and consumer
         preferences

   ⬢     Social, dynamic live tickers and
         embedded news content

Sources: Company Sites, Activate analysis                                21
We are constantly updating our free-to-play offerings to bring new
users into the ecosystem and keep them coming back
                                                               Success from free-to-play games

           NEDS' LIVE TRIVIA                       CORAL REWARDS GRABBER                       LADBROKES 1-2-FREE
    A micro-market game to engage players            Arcade-style game available daily to   Score and match prediction game available
       while sporting events are in-play                 users on the Coral platform            weekly on the Ladbrokes platform

                                                                                                                                            6 free-to-play
                                                                                                                                        propositions currently
                                                                                                                                        live across UK sports
                                                                                                                                                brands:

                                                                                                                                  • C.700k average cumulative
                                                                                                                                        weekly customers playing
                                                                                                                                        FTPs

                                                                                                                                  • >70% average conversion
                                                                                                                                        from FTP to real money play

                                                                                                                                  • C.300k new customers
                                                                                                                                        acquired by FTP in the last 12
                                                                                                                                        months

Sources: Entain internal data, Activate analysis                                                                                                                         22
Leading the way in virtual sports experiences

                                                 Forthcoming innovative experiences

                AR/VR Content
            First-of-its-kind virtual reality
                Sports Club experience

     First-of-its-kind virtual reality Sports
      Club experience

     Innovation project together with
      partner Verizon Media

     Using a Quest 2 VR headset,
      customers will be able to:

            Play and compete with each other
             in various games

            Watch sports live streaming

            Engage with our unique
             propositions

Sources: Company Sites, Activate analysis                                             23
THE INTERACTIVE ENTERTAINMENT
OPPORTUNITY
Esports audiences are growing rapidly with strong affinity for betting

                                                        Video game and esports ecosystem

                                 VIDEO GAMING                          DEFINITIONS                                 BETTING APPLICATIONS
                                General Gaming
                                 NON-RANKED18            • Consumers playing digital interactive
                                                                                                        Skill-based wagering (Casual games)
                                VIDEO GAME PLAY
                                                           games for general entertainment                         Competitive play of skill-based games,
                                                                                                               with players betting on their own performance
                             Organized & Structured
                             Competitive Multiplayer

                               NON-PROFESSIONAL
                              RANKED VIDEO GAMES         • Amateur players competing based on          Skill-based wagering (Amateur esports)
                                                           structured rankings determined by
                                                                                                                   Competitive play of skill-based games,
                                  Professional             skill and performance                               with players betting on their own performance
                                   ESPORTS
                                (PROFESSIONAL)

                              Organized, ranked,         • Professional athletes and teams competing                      Esportsbook
                               competitive play            in official leagues and/or organized
                                (includes play and/or                                                  Platform for viewers to wager on esports competitions, offered
                                     viewership)
                                                           tournaments                                            by most traditional sportsbook operators

 Source: Activate analysis                                                                                                                                              25
Esports already competes with major traditional sports and events for
viewership
                                                      Viewership by League, Global, 2021
                                                                                             474M

                                281M
                                                         231M

                                                                               105M

                                                                                           Esports Viewers

Sources: Forbes, NewZoo, Nielsen, Activate Analysis                                                          26
The esports wagering opportunity will grow to c.$12bn by 2025

                                                                                         Esports wagering market19

                                                                                                               2020-2025E
                                                                                                                  CAGR

                                                               +c.$9bn                               c.$12bn    34%

                                                                                                     c.$10bn     39%        Skill-Based Wagering
                                                                                                                            Competitive play of skill-based games, with players
                                                                                                                            betting on their own performance

                                                 c.$3bn
                                                 c.$2bn                                                                     Esportsbook
                                                 c.$1bn
                                                                                                      c.$2bn     19%        Platform for viewers to wager on esports
                                                                                                                            competitions
                                                   2020                                                2025E

Sources: Entain internal data, H2GC, Newzoo, PricewaterhouseCoopers, VIXIO, Activate analysis & interviews
For notes see appendix                                                                                                                                                            27
Unikrn leverages global player bases, offering both skill-based
wagering and esportsbook

                                                                  Unikrn surrounds
                                Skill-Based
                                Wagering                          these esports
  Example esports titles:
                                 Bet on your own                  experiences with
                            performance, and compete
                            against others to win prize           content & media
                                      pools
                                                                  and social
                                                                  integrations

                                                                          Social
                               Esportsbook
                            Bet on professional esports
                             competitions and events,
                               similar to traditional
                                   sportsbooks                    Programming   Streaming

                                                                                            28
Entain and UNIKRN combination creates the first fully-integrated
   esports platform
                  Key Capabilities                                                              Unikrn          Entain
                  Skill-Based Wagering: Bet on your own performance
  Products &      Enhanced Esportsbook: Bet on esports matches and virtual esports events                Traditional esportsbook
capabilities to
pursue esports    Streaming: Watch esports streams and bet on favorite streamers
    betting       Social & Community: Interact with other users and engage with creators
 opportunity
                  Original Content: Original news programming on esports & esports betting

                  Esports Data: In-play game data for skill based wagering

                  Scale: Global reach to support large-scale distribution

                  Capital Resources: Financial resources to support growth

Resources to      Technology: Engineering resources and IP
  support         Data Analytics: Intelligent analysis of player data
operations at
   scale          People: Talent and personnel

                  Regulatory Experience: History of regulatory compliance across markets

                  Player Protection: Product features designed to protect players

                  Marketing Expertise: Experience and resources to effectively grow audiences
                                                                                                                                   29
Opportunity to extend into casual gaming categories that align with
our strategy
           Key areas of attractiveness to                                                               Example:
                                                                                                        EXAMPLE: social
                                                                                                                 SOCIALcasino
                                                                                                                        CASINOadult
                                                                                                                               ADULTmarket
                                                                                                                                     MARKETsize
                                                                                                                                             SIZE , 2020-2025E,
                                                                                                                                                1928               global
                                                                                                                                                    , 2020-2025E, GLOBAL
                      Entain
                                                                                                                                                                2020–2025E
                                                                                                                                                                CAGR %
   • Alignment with Entain’s core offerings and                                                                                       +c.$3bn
     capabilities                                                                                                                                             c.10%
   • High-growth opportunities
       – c.10%+ CAGR 2020-2025E

   • Existing behavior among current Entain
     audiences
                                                                                                                                                c.$8bn
       – More than 50% of Entain’s existing free-to-
         play players transition to real–money gaming
                                                                                                                          c.$5bn
   • Ability to attract new users to core offerings
       – E.g. Significant proportion of social casino
         players are current or potential bettors20

                                                                                                                               2020              2025E

Sources: Entain internal data, Activate Betting & Gaming Research Study (n = 21,570), Newzoo, SensorTower, Activate analysis
For notes see appendix                                                                                                                                                       30
New Players

                          REAL MONEY GAMING
                         – Sports betting (i.e. online
Entain’s flywheel          and retail betting on
                           traditional sports)
drives user              – iGaming (i.e. poker, bingo,
                           casino table games,
                                                                         Consumer
                           casino slots)
acquisition,                                                            Engagement
                                                                         Powered by:                    –
                                                                                                            CONTENT & MEDIA
                                                                                                            Sports & betting media
engagement, and                                               THE ENTAIN PLATFORM                       –
                                                                                                        –
                                                                                                            Video and audio content
                                                                                                            Streaming
                                                                                                        –   Statistics and analysis
retention,                                               • People and Talent
                                                         • Content Creation
                                                                               • Proprietary
                                                                                 Technology
                                                                                                        –   Free-to-play games

enabled by                                                 and Products
                                                         • Global Scale and
                                                                               • M&A and Integration
                                                                                 Track Record
                                                           Brand Awareness     • Customer
Entain’s unique                                          • Marketing
                                                           Excellence
                                                                                 Relationships and
                                                                                 Data
                                                                                                                                      New Users

platform                                                                       • Regulatory Expertise
                                                                                 and Responsibility

                                                             INTERACTIVE
                                                           ENTERTAINMENT
                                                         – Esports betting
                                                         – Skill-based wagering
                                                         – Casual mobile games
                                                           (i.e. Social Casino)
                    New Gamers
                                                                                                                                          31
Unlocking significant market opportunities

                                                          Entain is moving from a $40bn to a $160bn total addressable market

                                                                                                                              INTERACTIVE      THE ENTAIN
                                                                                                                            ENTERTAINMENT24   OPPORTUNITY
                                                                                                            NEW MARKETS23    c.$20bn

                                                                            U.S. MARKET                      c.$40bn
                                                                             LEADER22

                                  MARKET GROWTH IN                         c.$32bn                                                             c.$162bn
                                   CORE MARKETS21

CORE INTERNATIONAL                      c.$30bn
 GAMING BUSINESS

    c.$40bn

     Pre-eminent, Digital, Global Betting & Gaming Platform                                                                                    Integrated Global Ecosystem

Sources: Entain internal data, H2GC, VIXIO, World Bank, NewZoo, Sensor Tower, Activate interviews and analysis                                                               32
Sandeep Tiku             11

Chief Operating Officer
Entain Group CTO 2014-2020
ENTAIN’S
 SECRET
 SAUCE

           34
7 years ago, we set an ambitious target

                                     Best customer experience

                                     Strongest technology

   2014                              Awesome products

                                     Build for the future

                                                                35
While the competition assembled boxes,
we did something different

              Linear approach
                                             At Entain, we set about developing

             Sportsbook      Casino

                                                   Intelligent
                                                  Technology
             Poker          Bingo            To power the growth of the business

                                            To transform the future of the industry

    Just assembling the boxes isn’t smart

                                                                                      36
Intelligent powerhouse, real engineering outcome

                                                   37
Precision approach, differentiated from the competition

                Linear approach                   Cognitive approach

                      Run
                   processes

        Start                     Play

                     Follow
                       up

      Reactive - Chasing the customer         Proactive - One step ahead

                                                                           38
Operating at Scale with Speed and Security

                                                                                Large-scale global operations running seamlessly

                                            7x
                                          vs Amazon
                                                                                                                                 71k+
                                                                                                                                 Trading events per min
                                                                                                                                                                                                              100+
                                                                                                                                                                                                                         Cyber attacks

                         Entain’s UK Brands handle 7x                                                                          Entain’s Trading platform                                               100+ Cyber Security attacks in
                          transactions every Saturday                                                                          generates 71k+ events per                                                        last 2 years
                             vs Amazon’s UK setup                                                                            minute - comparable to leading                                                  with ZERO impact
                               on a Black Friday*                                                                                  stock exchanges                                                     to our services and customers

Notes: * Like for like comparison based on Statista Amazon report. Nov 23rd, 2018, Black Friday, Amazon UK reported 4.22M transactions that day. Each Saturday, Entain UK brands report 28M+ transactions (2018-2021+)                   39
https://www.statista.com/statistics/1061675/number-of-total-transactions-on-amazon-uk-website-black-friday-and-cyber-week/
Delivering powerful & agile operations

                                   Five major projects delivered in one single day

        1                       2   12th May 2020       3                       4                  5
 Ladbrokes migrated        PayPal Germany        Sportsbook migration      Moved casino for    Online gaming
 to Entain’s platform   regulatory change with      from Gibraltar        Coral & Ladbrokes   launch ready for
  (industry’s largest         mandatory                to Dublin            to centralised      West Virginia
  migration to date)           deadline                                   application stack

                                                                                                                 40
Delivering more for our customers

                                    Improvement across the board

                                                                                                                                  Increase in customer
                                    Customer delight                                                     10%                      delight since Jan ‘21

                                                                                                                                  Improvement in time to set up a
                                                        More agile                                     476%                       new geography / market

                                                                                                                                  Reduction in the time to integrate
                                                 More flexible                                         780%                       any 3rd party

                       Notes: Customer delight based on new customer engagement measurement framework and sentimental analytics
                             New market setup reduced from 8-9 weeks to 1-2 weeks                                                                                      41
                             New third-party integrations reduced from 20-24 weeks to 2-3 weeks
5+ years of double-digit growth

                                                    Total Entain Digital NGR (£m)
          900

                                                                                                                                  41%         23%
                                                                                                                                                     #1
          800                                                                                                                           32%
                                                                                                                                                    US Gaming

          700
                                                                                                                      23%
                                                                                                                            28%
                                                                                                                                                                #2
          600                                                                                                   19%                                             Germany
                                                                                                          11%

                                                                                                                                                     #2
                                                                                              17%   11%
                                                                                  15%
                                                                                        18%
          500                                                               29%
 NGR £m

                                                          26%         25%
                                                                15%
                                                                                                                                                       UK
          400                                       13%

                                                                                                                                                                #2
                                        18%   12%
                                  17%
                      22%   25%
                24%
          300
                                                                                                                                                                 Italy
          200

          100
                                                                                                                                                     #1
                                                                                                                                                      Brazil
           0
                 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
                2016 2016 2016 2016 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021

                                                                                                                                                                          42
We are well-positioned to lead our sector

                                                       Performance against Top Digital Peers
                                                                                                                                  4.1
                                 Architecture &
                                                                   1                                                                              5
                                 Innovation                                                            2.8

                                 Technology                                                                           3.4

Entain has technology
                                 Strategy &                        1                                                                              5
                                 Operating Model                                                             3.0
                                                                                                                     3.3

in its DNA; the Group            Technology
                                 Procurement
                                                                    1
                                                                                                 2.5
                                                                                                                                                  5

     has built a key             Infrastructure &
                                 Operations
                                                                    1
                                                                                                                                   4.1
                                                                                                                                                  5

 differentiating factor          Risk & Security
                                                                                                               3.1
                                                                                                                                          4.4
                                                                    1                                                                             5
                                 Management
                                                                                                               3.1

                                 Legend                                         Entain Maturity Level                       Peer Average
                                                                                                                            (Top 15 percentile)

                                 Notes: As recognised by a leading global research and advisory company
                                       Top Digital Peers with revenues >5B USD, Operating in >15 countries, with IT spend >150M USD

                                                                                                                                                      43
1. AI First Strategy
           2. Engineering Innovation
           3. Development Ecosystem
           4. Customer Protection
ENTAIN’S

           5. Awesome Products
 SECRET
 SAUCE

                                       44
2. Engineering Innovation
           3. Development Ecosystem
           4. Customer Protection
ENTAIN’S

           5. Awesome Products
 SECRET
 SAUCE

                                       45
1   AI First Strategy

                            CRM            PERSONALISATION     CUSTOMER           3rd PARTY

                        101010101110100110101010101010101010101010101010101010000111010101101
                        010101010101010100101011010011010100101001010101010101010011101101010
                        010101010010101001110101000101010100101010101010101010101010101010101
                                   SINGLE DATA LAKE
                        010101010101010101101010101110100110101010101010101010101010101010101
                        010000111010101101010101010101010100101011010011010110101001010101010
                        101010011101101010010101010010101001110101000101001010101001101010101

                                            REAL TIME          FEEDBACK
                             AI                                                   ANALYSIS
                                             MODELS              MIXER

                                      Connected information driving
                                         step-change outcomes
                                                                                                46
1   AI First Strategy

                                           Delivering value today

    REVOLUTIONARY               ✓ Hyper-personalised experiences for
                                  every customer
        AI-FIRST
                                ✓ Far higher accuracy
       STRATEGY
                                ✓ Understands new customers in

              Enabled by           ▪ < 12 hours with 70% accuracy
        Entain’s proprietary       ▪ < 3 days with 90% accuracy
       intelligent technology
                                ✓ Real-time Voice of the Customer & AI
                                  driving Entain’s product experience

                                                                         47
1. AI First Strategy

           3. Development Ecosystem
           4. Customer Protection
ENTAIN’S

           5. Awesome Products
 SECRET
 SAUCE

                                      48
2    Engineering Innovation

       Automated technology integrations                    Invisible migration, visible benefits

                                                       Ladbrokes & Coral
                                                   Online Monthly NGR (£m)
        Self-Detect

    Self-Learn                                                                                      Migration to Entain
                                                                                                    platform

        Self-Migrate
                                                 May Jun   Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun   Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr
                                                 19 19     19 19 19 19 19 19 20 20 20 20 20 20               20 20 20 20 20 20 21 21 21 21

25m customers migrated recently
                                                              38% growth since migration                                              *

         ZERO IMPACT
                                           * 12 months post-migration vs. 12 months pre-migration                                                      49
1. AI First Strategy
           2. Engineering Innovation

           4. Customer Protection
ENTAIN’S

           5. Awesome Products
 SECRET
 SAUCE

                                       50
3    Development Eco-system

                            Central delivery eco-system powered by Entain’s relevance factor

    UK        253 features planned                                         UK        769 features shared      3x

    Europe     42 features planned                                         Europe    313 features shared    7.5x
                                               MULTIPLIER
    US       265 features planned                                          US        453 features shared     2x
                                                DELIVERY
                                                                                                            1.5x
    Casino   230 features planned
                                                 MODEL                     Casino    311 features shared

    Others   687 features planned                                          Others   1,770 features shared   2.5x

                             Average benefits per stream in 2020 of 332%
                                                                                                                   51
3    Development Eco-system, accelerating growth

                                    Delivering scale with efficient operations

    In 2018 Ladbrokes Coral     By 2020 this was
         depended on…             reduced to…                50M £ Synergies in less than               3,000+ people
                                                                    24 months
                                                                                                         Corporate Operations

             3                        0                       150% increase in delivery
                                                                    throughput
                                                                                                        Poker & Casino Platform
    OUTSOURCING AGENCIES      OUTSOURCING AGENCIES

                                                                                                          Retail Development

                                                               1000+ people
                                                                                                         Marketing Operations
          250                         0                         Corporate Operations                     Sports Development
         CONTRACTORS              CONTRACTORS

                                                               Poker & Casino Platform                   Mobile Development

           15                         3                                THEN

                                                                          Scaling teams and moving functions to
                                                                                                                NOW

        TECH SUPPLIERS           TECH SUPPLIERS
                                                                           cost-optimized high-tech hub in India

                                                                                                                                  52
1. AI First Strategy
           2. Engineering Innovation
           3. Development Ecosystem

ENTAIN’S

           5. Awesome Products
 SECRET
 SAUCE

                                       53
4       Customer Protection

             Breakthrough scientific approach to player safety

    1

FOCUS ON                                                                                               INTELLIGENT
BOTH                                                                                                  APPROACH TO
CUSTOMER               CUSTOMER BEHAVIOUR                            PRODUCT FEATURES                      RISK
BEHAVIOURS       Keeping customers in their Safe Zone         Continuously scanning our product for     REDUCTION
& PRODUCT           Setting behavioural baselines
                                                                            hot-spots
FEATURES                                                      Making real-time changes          to
                       Detecting spikes in their play
                                                                   keep our customers safe

                       Customer Profile                 Academic            Product Feature
    2                      Analysis                     Research               Analysis

                                                                                                      CARE CRAFTED
CREATES                                       PERSONAL SAFETY NET                                       TO EACH
A SAFETY
                                                                                                       CUSTOMER
NET UNIQUE
                   ▪     Dynamic Bet Limits
TO EACH
CUSTOMER
                   ▪     Dynamic Deposit Limits                                Tailored to
                   ▪     Dynamic Session Time Limits                         each customer
                   ▪     Dynamic Feature Adaption

                                                                                                                     54
1. AI First Strategy
           2. Engineering Innovation
           3. Development Ecosystem
           4. Customer Protection
ENTAIN’S
 SECRET
 SAUCE

                                       55
5   Awesome Products

     CASINO       RACING         SPORTS          BINGO       POKER

                1000+ new features added every single year
                                                                     56
Continually driving down costs

                       Technology gross cost base as % of NGR

                                          33% reduction since 2018

             2018            2019                   2020        2021
        Cost / NGR %

                                                                       57
Accelerating growth

                      Product innovation driving further growth

                         • New Trading Platform
                             H2 2021 (4 years of investment)

                         • Proprietary group Bet Station
                             by H2, 2021

                         • Next-Gen Personalization Engine
                             by H1, 2022

                                                                  58
Ready for the next innovation curve

                                 Innovation is disruptive

                      Guy Kawasaki tells the story of how ICE 1.0 (left)
                    became ICE 2.0 (right), through disruptive innovation
                                                                            59
Ready for the next innovation curve

                             We are at the forefront

                                                              TECHNOLOGY

                                    LIVE
                                                       GAMING          MEDIA
                                                                ENTERTAINMENT
                                   YOUR                SPORTS               SOCIAL

           pic                    DREAM                          pic

   Innovation Lab & Brand   Disruptive & Innovative           Key
       launch In 2021            Product Lines            Partnerships

                                                                                     60
Ready for the next innovation curve

             We are investing           100%
              £100M                   funded through
                                        EVOLVE
               in innovation
                                         our cost
              over the next 3
                                       optimisation
                    years
                                       programme

                                                       61
Key takeaways

             #1      Powerful technology ecosystems

             #2      Years ahead of the competition

             #3      Ready to shape the future of our
                     industry
ENTAIN’S
 SECRET
 SAUCE

                                                        62
Dom Grounsell   11

MD UK Digital
UK digital market in consistent growth

                                          UK Digital sector: Total net gaming revenue 2016-2020

                                                                     +16%
                                                         +6%
                                            +3%                      £6.0
                                                                                           Consistent growth for 15+ years
                                   +18%
                                                         £5.2
                                   £4.8     £4.9                                        Growth driven by customer penetration
               £4.1                                                                                 & innovation
  NGR (£bn)

                                                                                              Tier 1 operators dominate

                                                                                        Out-performance requires leadership in
                                                                                                   key capabilities

                2016               2017     2018         2019         2020

Source: Regulus 2020 Market Data                                                                                                 64
Diverse UK brand portfolio

                                   Key Entain UK brands & lead propositions

                                                                                   17%
                  Sports Betting     Sports Betting                   Slots       NGR Market
                      Slots              Slots                    Table Games       share
                  Table Games        Table Games                   Live Casino      2020
                   Live Casino        Live Casino                     Poker

                                                                                   +2pp
                                                                                 share vs. 2019
                      Slots              Bingo                        Bingo
                      Bingo              Slots                        Slots
                   Table Games        Live Casino                  Live Casino

Source: Regulus 2020 Market Data                                                                  65
Diverse UK customer base

                                      Key Entain UK brands – customer audiences

                                                                                                   Opportunities to

                                                                                                    GROW

                                                                                                   Opportunities to
                                                                                                    MITIGATE
                                                                                                     MARKET
                                                                                                   HEADWINDS

 Diverse Customer Base:   Ages   Genders   Lifestyles   Product Preferences   Playing Behaviours

                                                                                                                      66
Unique & highly effective operating model

 Customer Facing Brands
 Driving the market level
 growth agendas

World Class Centralised
Operational Functions
Ensuring consistency in               Compliance        Customer Services     Enabler Functions
execution in critical areas       & Player Protection     & Operations      Legal, HR, Finance etc.

Integrated Global Platform
Delivering cost efficiencies &
global consistency, stability &        Product            Core Systems              Data
alignment

                                                                                                      67
Strong brand, customer & revenue performance
                         BUILDING STRONG BRANDS                                                                     ATTRACTING MORE CUSTOMERS                                            DIVERSIFYING OUR CUSTOMER BASE
         Top UK Betting & Gaming Brands: % Customers Very/Somewhat (1)                                                                                       (2)
                                                                                                                    Monthly Actives Customers Jan 2019-May 2021                           Recreational Player Volume 2019 vs 2020
                                   Familiar

                                                                                                                                      +76%                                                               +43%

                                                                                                                                                                                                  2019                 2020

                                                                      IMPROVING CUSTOMER SATISFACTION                                                   DELIVERING MARKET LEADING GROWTH
                                                                                                                           (3)                                                                  (4)
                                                                       Av Weekly Coral Customer Satisfaction: 2019-2020                                            Operator 3 Year CAGR: 2017-2020
                                                                                                                                                 20%
                                                                                                  +20%
                                                                                                                                                 15%

                                                                                                                                                 10%

                                                                                                                                                   5%

                                                                                                                                                   0%
                                                                                          2019               2020                                       Entain Comp Comp Comp Comp Comp Comp Comp Comp
                                                                                                                                                         UK      1    2    3    4    5    6    7    8
                                                                                                                                                  -5%
1) Nursery UK Digital Brand Tracker Q4 20. Q: How familiar are you with the following companies? N = >2000                                                                                                Rest of
2) Internal Entain data                                                                                                                                                                                   Market
3) Entain UK Voice of Customer Survey N=>1000                                                                                                    -10%                                                                               68
4) Regulus Market Data 2020
Four pillars of growth

    Customer Insight,    Brand              Innovation   Digital Marketing
    Data & Analytics

                          Customer First approach
                                                                             69
1. Insight, Data & Analytics
                 2. Brand
                 3. Innovation
                 4. Digital Marketing
Growth Pillars

                                                70
Analysis & synthesis of external insight

               Analysis & synthesis external insight                       Identifying new growth opportunities

                                              Market Size & Value Trends
                                              Innovation Reports
                                              Share Reports
                                              Competitor Monitoring
        Feedback            Market Tracking
   Csat Tracking              & Analysis
Social Monitoring

                                               Customer
              Customer
                                               Tracking
             Satisfaction       Insight
                                                  &
             & Sentiment
                                               Analysis

                                                     Customer Volumes
                            Brand Health &           Customer Behaviours
         Awareness                                   Socioeconomics
       Consideration
                            Image Tracking
                                                     Psychographics
          Perception                                 Geodemographics
     Image Attributes                                                          ACQUISITION               RETENTION
                                                                            Opportunity Heatmap      Opportunity Heatmap

                                                                                                                           71
Innovating in customer research

                       Example: Leveraging neuro testing to optimise TV adverts

   Develop TV Advert                        Neuro-Testing Study                           Rich insight to evaluate and
                                                                                                 optimize advert
                                Measuring
                              Brain Response EEG                              Section 1

                                                                               Section 2

                                  GSR                              ET

                              Measuring                           Measuring
                                Skin                                Eye
                              Response                            Tracking
                                                                                          Analyses of combined EEG, GSR and ET
                                                                                     measurements allows us to identify where the ad is
                                                                                         performing and where we can improve.

                                                                                                                                    72
World class customer segmentation
         Large scale research programme delivering in-depth                   Leveraging insight to create experiences tailored to
                          segment insights                                                     segment needs
                                                                                        CURRENT AUDIENCE   ADDITIONAL FUTURE AUDIENCE
                                                                                            EXAMPLE                 EXAMPLE

             Extensive Qualitative     High Volume        Detailed Factor &
               Research Phase        Quantitative Study   Cluster Analysis

CURRENT
AUDIENCES

ADDITIONAL                                                                                  TAILORED                TAILORED
FUTURE                                                                                      SEGMENT                 SEGMENT
AUDIENCES                                                                                  EXPERIENCES             EXPERIENCES

                                                                                                                                        73
Leading edge data & analytical capabilities = data powered decision making

                 CUSTOMER              COMMERICAL              MAXIMISING              CUSTOMER
Focus Areas    UNDERSTANDING           OPTIMSATION              GROWTH                PROTECTION

                                            Commercial                                       Compliance
                   AI Lifetime Value        Analytics &          AI Next Best Offer
                                                                                             Analytics &
                         Models              Reporting                Engine
                                                                                              Reporting

                                             Marketing               AI Driven                KYC Engine
   Key             Customer DNA                                   Personalisation
Capabilities                               Analytics Toolkit

                                                                                             AI Problem
                  Segment Analysis         Bonus Abuse                                       Gambling
                                             Models               Simulation Suite
                                                                                             Prediction
                                                                                              Engines
                                                                                             (Part of ARC)

                                                                World Class
                  Integrated Global     Enhanced AI                                    Advances Global
Foundations                                                     Management
                  Data Platforms        Platform                                       Analytics Tool Kit
                                                                Information Suite

                                                                                                             74
1. Insight, Data & Analytics
                 2. Brand
                 3. Innovation
                 4. Digital Marketing
Growth Pillars

                                                75
Strong heritage and significant investment
           Strongest heritage in the market                      Significant investments in advertising

   Ladbrokes: Founded 1902       Coral: Founded 1926

                                                                 Gambling Brands Share of Advertising Media Spend: YTD May 2021

                                                       20%
                                                       18%
                                                       16%
                                                       14%
                                                       12%
                                                       10%
                                                       8%
                                                       6%
                                                       4%
                                                       2%
                                                       0%
                                                             Comp 1    Ladbrokes    Comp 2     Comp 3   Comp 4   Coral   Comp 5   Rest of
                                                                                                                                  Brands
                                                         Source: Analysis of BARB & Nielson Tracking

                                                                                                                                            76
Building towards world class Brand Marketing
                                       INNOVATING IN DIGITAL
                    HUMAN, CUSTOMER   LADBROKES HORSE TINDER
                        CENTRIC
                      ADVERTISING

                                                               BLOCK BUSTER
                                                                CAMPAIGNS

  FILM QUALITY PRODUCTION VALUES

                                                                              77
The brand power of Retail

                             >2.5k ‘window’ advertising
                                        sites

                              Millions in potential media
                                          value

                             High quality digital window
                                 screens rolling out

                            Proprietary MarTech delivering
                                 localised messages

                             Key competitive advantage

                                                             78
1. Insight, Data & Analytics
                 2. Brand
                 3. Innovation
                 4. Digital Marketing
Growth Pillars

                                                79
Ambitious, wide ranging innovation agenda

     FREE-TO-PLAY                      SPORTSBOOK                          GAMING                        CORE JOURNEY
 Market leading portfolio of games   Driving engagement through   Breadth & depth of best-in-class     Making it easier & quicker for
     across Sports & Gaming                  gamification           content always available for     customers to complete key action
                                                                            customers

                                                  Integrated Global Platform
                                                                                                                                        80
Setting the highest possible bar for future innovation

                  Make it…       Make it…         Make it…    Make it…

   Example       SIMPLER &     MORE FUN &     PERSONALISED    STAY IN
Customer Needs
                   MORE       ENTERTAINING        TO ME      CONTROL
                 INTUITIVE

  Our Bar For
  Innovation

                                                                         81
1. Insight, Data & Analytics
                 2. Brand
                 3. Innovation
                 4. Digital Marketing
Growth Pillars

                                                82
Extensive Marketing Technology estate & innovative digital marketing

Entain MarTech Estate – Graphical Overview
                                                                       Highly Targeted
                                                                       Real Time Push
                                                                         Campaigns       Personalised
                                                                                          Customer
                                                                                          Marketing

     Our MarTech estate incorporates best in class tools & platforms
                from a wide range of leading suppliers

                                                                                                        83
Driving to the bleeding edge of what is possible

                                                                                     Customer Segment insight….

                                                                                                                                 THE FLOW
                                                           Analysis
                                                          produces                                                             MARKETING FLY
                                                         optimization
                                                           insights
                                                                                                                                  WHEEL
          Future Priorities

      Drive channel expansion
                                                                                                                                        … drives ideal
                                                                                                                                        proposition &
                                         We then          Linear    Attribution                                                       creative selection
 Next phases of MarTech expansion        analyse       Performance Performance                                                            for each
                                       performance
                                                                                                                                         customer…
                                      using multiple
                                          lenses
 Deepen partnerships & integrations                     Customer         Brand
                                                        Feedback        Tracking
         with key partners

          Flow Marketing

                                                                                   … and drives ‘individualised’ campaign
                                                                                                  execution:
                                                                                   Channel selection, Spend, Scheduling, etc

                                                                                                                                                  84
Conclusion

     Consistent track record of out-performance

     Significant investments in critical capabilities to drive growth

     Ambitious roadmap of innovation underway

     Major scope for future growth, built around being data driven & customer first

     World leader, not just category leader, in our key pillars of growth

                                                                                      85
APPENDIX
References
1. As per company guidance with 2021 Interim results dated 12 August 2021
2. Total market share by GGR for retail, OSB and iGaming across all U.S., including jurisdictions where BetMGM is not currently active; internal estimates used where operator-
   specific results are unavailable.
3. In markets that BetMGM is active.
4. 3-month rolling market share April 2021 to June 2021, based on BetMGM revenues as a percentage of state reported revenues.
5. Constant currency basis.
6. Includes Australia, Belgium, Brazil, Canada, France, Germany, Italy, Mexico, Spain, United Kingdom, United States.
7. Excluding Germany.
8. Excluding UK.
9. Markets in which Entain is not licensed nor currently engaging with regulatory authorities in preparation for licensing.
10. Projected long-term available market size.
11.Minimum age surveyed varied across countries due to betting/gaming age restrictions.
12. Global countries surveyed include: Australia, Belgium, Brazil, Canada, France, Germany, Italy, Japan, Mexico, Poland, Russia, Spain, United Kingdom, United States.
13. Sports bettors defined as those who have bet money on sports in the last 12 months.
14. Sports followers defined as those who have watched sports games or highlights, attended a sport event, or read articles/stats in the last 12 months.
15. Played video and/or mobile games on any device in the last 12 months.
16. Bettors defined as those who have participated in at least one betting activity (betting on sports, esports, virtual sports or non-sports events) in the last 12 months.
17. Gamers defined as those who have participated in at least one gaming activity (playing casino table games, bingo, poker, or slots with real money) in the last 12 months.
18.For non-ranked video games, players may be ranked according to performance statistics for multiplayer match-making to occur, to ensure fair level of play, and to support
  social interaction (e.g. leaderboards), though this score is often withheld from the player, is not professionally-driven, and is not used in situations analogous with rank-
  based competitions (e.g. players earning skill tiers, tournaments with payouts).

                                                                                                                                                                                  87
References
19. Includes revenue from adults aged 18+ only.
20.Current bettors defined as those who participated in at least one betting or gaming activity in the last 12 months. Potential bettors defined as those who have not
   participated in betting or gaming activities in the last 12 months but are at least slightly interested in participating in at least one in the future.
21. Core market long-term TAM (excluding the US) estimated to be c.$70bn based on GGR forecasts of current active geographies.
22. Incremental US long-term TAM of c.$32bn equals estimated forecast GGR of c.$14bn for U.S. iGaming, c.$13bn for U.S. sports betting, and c.$4bn for total Canadian
   market.
23. New market incremental long-term TAM estimated to be c.$40bn based on GGR forecasts of target markets where Entain is not currently active.
24. Forecast incremental 2025E TAM for interactive entertainment of c.$20bn equals forecast 2025E TAM of c.$12bn as addressable market for Esports betting and c.$8bn as
   addressable market for social casino.

                                                                                                                                                                         88
You can also read